Westar Lending Non-Prime & Sub-Prime Rate Sheet

Westar Lending Rate Sheet August 2016

We fund Private Equity Loans!!!!!

If you have a client NOW that needs financing or just want to see what our company has to offer you and your clients on future deals, then please click the link below to view our company’s current rate sheet.

Click Here to Download or Open Attached File,

If you have any questions on the loan programs our company offers or want to run a loan scenario by us, then please call our office at (888) 797-7970.

We look forward to working with you and your clients.
Thank You
Westar Lending Group
http://westarlending.com
(888) 797-7970 Toll Free

For mortgage professionals only. This information is intended for the exclusive use of licensed real estate and mortgage lending professionals in accordance with local laws and regulations. Distribution to the general public is prohibited. Rates and progress are subject to change without notice.

When can a Private Equity Loan Help your Buyer

While most Realtors only work with Buyers that are Pre-Approved or fully Approved with an “A” Paper Lender, situations do come up when even an “A” Paper Buyer might need a Private Equity Loan in order to “close the Deal”.

Most of the time this situation occurs when the “A” Paper Lender is dragging their feet or better yet going crazy with underwriting conditions that are imposed on the Buyer.shutterstock_254695942

We have seen instance after instance where due to a small insignificant matter led an “A” Paper loan going down the drain.  In such a situation time might not be available to close escrow with another “A” Paper Lender in the time agreed to in the Purchase Contract with the Seller.  Or in the case of a simple refinance where the Borrower plans to obtain the funds for a down payment a Private Equity Loan can provide a Realtor’s Buyer the down payment funds they need when the “A” Paper Lender proves difficult.

 When might a Buyer Need a Private Equity Loan?

 Following are the most common situations where a Realtor should suggest a Private Equity Loan to their Buyers:

 The Borrower has Credit Issues:

  • Current and past delinquent mortgages and consumer credit that are not acceptable to the big banks and other institutional lenders.

 The Borrower has Income Issues:

  • This covers everything from limited income documentation to no income documentation whatsoever, either way the big banks aren’t accepting the income documentation

 There are Property Condition Issues:  

  • Deferred maintenance and contemplated property additions not allowed with traditional bank financing

In additional there are numerous types of properties that the big banks and institutional lenders will not often fund, some of which are:

  •                         Churches
  •                         Gas Stations
  •                         Auto Repair Facilities
  •                         Fix & Flip Transactions
  •                         Vacant Land
  •                         Unpermitted property additions

The Borrower Needs the money FAST: 

 When money is needed faster than the big banks or institutional lenders can provide

 A Realtor that offers a Private Equity Loan to their Buyers can prove be a good business decision for both the Realtor and their Buyers.

 shutterstock_200658173Realtors should ALWAYS inform their Buyers that anytime a Private Equity Loan is obtained that a plan should be put in place to pay the loan off, by either refinancing when credit, income and the property is acceptable to an institutional lender or by simply selling the property.

 Often times Buyers contact our company directly or through their Realtor to obtain funds for a GOOD business or investment deal that would not remain available when allowing for Institutional Lender’s loan processing time frames.  We always suggest a plan to pay the loan off, whether that plan includes credit repair, income documentation matters or necessary improvements to the property’s condition.  Often times income documentation is a much harder challenge, since the underwriting requirements of institutional lenders often demand two years’ documentation of business income and often the same time frame for employed Borrowers.

 Many Realtors generate additional income by also participating in loan originating for their Buyers. This type of situation provides an opportunity for Realtors to earn a commission from originating the Private Equity Loan and later another commission from originating the institutional refinance.

 We’re currently offering Private Equity Financing at interest rates that range from 9% to 12%, with most of the loans our company funds having an interest rate of approximately 10%.

Whenever a Realtor has a Buyer who might need or benefit from obtaining a Private Equity Loan all the Realtor needs to do is provide us with the address and the “Deal Points” and our company is usually able to make a lending decision, which includes a proposed interest rate, loan terms together points and closing costs.

Submitting the Buyer’s information to our company can be done over the phone or through our company’s secure website.

We always provide a preliminary underwriting response the day a Realtor submits the Buyers information to our company.

Private Equity Loans are very much like institutional loans but with only a few differences.  The primary differences being the approval requirements and the funding speed.  Private Equity Loans are much easier to get approved when credit or the condition of the property is an issue.

 The typical time frame from Realtor loan submission to funding in typically “1” to “2” weeks.  There are instances when it takes longer but that is usually associated with title matters or matters not disclosed by the Borrower that later pop up at the last minute that requires additional time to resolve.

shutterstock_265352522 Our company is highly dedicated to serving the needs of the Realtor community and their Buyers with Private Equity Financing.

 Our company has a convenient online loan submission portal on our company’s website that makes it convenient to obtain a loan quote on a potential loan or to get a formal loan approval on a loan in process.   Our website is fully secure and is an accredited SSL domain.

 If you are a Realtor and would like to obtain additional information on how a Private Equity Loan can be a valuable choice for both you and your Buyer, then please call our company toll free at (888) 797-7970.

 

 

 

When can a Private Equity Loan Help your Borrower

 

 

shutterstock_122615434While most Mortgage Brokers focus most of their time and energy originating “A” Paper Loans, situations do come up when even an “A” Paper Borrower might need a Private Equity Loan in order to “close the Deal”.

Most of the time this situation occurs when the “A” Paper Lender is dragging their feet or better yet going crazy with underwriting conditions that are imposed on the Mortgage Broker’s Borrower.

We have seen instance after instance where due to a small insignificant matter led an “A” Paper loan going down the drain.  In such a situation time might not be available to close escrow with another “A” Paper Lender in the time agreed to in the Purchase Contract with the Seller. Or in the case of a simple refinance where the Borrower needs funds for a Business or Investment purpose a Private Equity Loan can provide a Mortgage Broker’s Borrower the funds they need when the “A” Paper Lender proves difficult.

When might a Borrower Need a Private Equity Loan?

 Following are the most common situations where a Mortgage Broker should suggest a Private Equity Loan to their Borrowers:

 The Borrower has Credit Issues:

  • Current and past delinquent mortgages and consumer credit that are not acceptable to the big banks and other institutional lenders.

The Borrower has Income Issues:

  • This covers everything from limited income documentation to no income  documentation whatsoever, either way the big banks aren’t accepting the income documentation

There are Property Condition Issues: 

  • Deferred maintenance and contemplated property additions not allowed with traditional bank financing

In additional there are numerous types of properties that the big banks and institutional lenders will not often fund, some of which are:

  •  Churches
  •  Gas Stations
  •  Auto Repair Facilities
  •  Fix & Flip Transactions
  •  Vacant Land
  •  Unpermitted property additions

The Borrower Needs the money FAST: 

 When money is needed faster than the big banks or institutional lenders can provideincome-mortgage-loan-guidelines

A Mortgage Broker that offers a Private Equity Loan to their Borrowers can prove be a good business decision for both the Mortgage Broker and their Borrowers.

Mortgage Brokers should ALWAYS inform their Borrower/Clients that anytime a Private Equity Loan is obtained that a plan should be put in place to pay the loan off, by either refinancing when credit, income & the property is acceptable to an institutional lender or by simply selling the property.

Often times Borrowers contact our company directly or through their Mortgage Broker to obtain funds for a GOOD business or investment deal that would not remain available when allowing for Institutional Lender’s loan processing time frames.  We always suggest a plan to pay the loan off, whether that plan includes credit repair, income documentation matters or necessary improvements to the property’s condition.  Often times income documentation is a much harder challenge, since the underwriting requirements of institutional lenders often demand two years’ documentation of business income and often the same time frame for employed Borrowers.

This type of situation provides an opportunity for Mortgage Brokers to earn a commission from originating the Private Equity Loan and later another commission from originating the institutional refinance.

We’re currently offering Private Equity Financing at interest rates that range from 9% to 12%, with most of the loans our company funds having an interest rate of approximately 10%.

Whenever a Mortgage Broker has a Borrower who might need or benefit from obtaining a Private Equity Loan all the Mortgage Broker needs to do is provide us with the address and the “Deal Points” and our company is usually able to make a lending decision, which includes a proposed interest rate, loan terms together points and closing costs.

Submitting the Borrower’s information to our company can be done over the phone or through the Mortgage Broker Portal on our company’s secure website.

We always provide a preliminary underwriting response the day a Mortgage Broker submits the Borrower’s information to our company.

Private Equity Loans are very much like institutional loans but with only a few differences.  The primary differences being the approval requirements and the funding speed.  Private Equity Loans are much easier to get approved when credit shutterstock_188461463or the condition of the property is an issue.

The typical time frame from Mortgage Broker loan submission to funding in typically “1” to “2” weeks.  There are instances when it takes longer but that is usually associated with title matters or matters not disclosed by the Borrower that later pop up at the last minute that requires additional time to resolve.

Our company is highly dedicated to serving the needs of the Mortgage Broker community and their Borrowers with Private Equity Financing.

Our company has a convenient online Broker portal just for Mortgage Brokers on our company’s website that makes it convenient to obtain a loan quote on a potential loan or to get a formal loan approval on a loan in process.   Our website is fully secure and is an accredited SSL domain.

If you are a Mortgage Broker and would like to obtain additional information on how a Private Equity Loan can be a valuable choice for both you and your Borrower, then please call our company at (888) 797-7970.

Recently Funded Loan – Sliverlake, CA


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Property Type: “4” House Courtyard

Lien Position 1st Trust Deed
Loan Amount: $208,000.00
Appraised Value: $1,400,000.00
LTV: 13%
Loan Rate: 9%
Loan Type: Investment Purpose
Occupancy: Non-Owner Occupancy
Term: 12 Months Interest Only

The Borrower was in need of funds for a business opportunity that was presented to the Borrower. The Borrowers had 800 plus FICO scores, great income and owned the property Free & Clear. Due to time constraints they could not get a loan from their back due to time constraints. The property was just great, perfect condition, very desirable and was located on a street in Silverlake that overlooked the lake. The unique courtyard design made the property very charming. The Borrower had great credit and strong income but could not wait the time their big bank quoted them to close their loan. The total time from loan application to funding was just over ‘5” days. This loan is probably the cleanest loan we have seen in years, and oh yes, the Borrowers were thrilled with our service to them.

 

Recently Funded Loan – Encino, CA

Karaboghosian-Appraisal.pdf - Adobe Acrobat Reader DC 162016 121723 PM.bmpKaraboghosian-Appraisal.pdf - Adobe Acrobat Reader DC 162016 121729 PM.bmpProperty Type: Single Family Residence
Lien Position 1st Trust Deed
Loan Amount: $350,000.00
Appraised Value: $570,000.00
LTV: 61%
Loan Rate: 10.00%
Loan Type: Investment Purpose
Occupancy: Non-Owner Occupancy
Term: 12 Months Interest Only

The Borrower’s family members formally owned the property and were forced to short sale the property several years earlier to an acquaintance under a profit arrangement. The time was running out on the option to re-purchase the property and get the property back “Into the Family”. It was agreed that the best option would be for the Borrower’s Brother to purchase the property as a Non-Owner occupied investment rental property. It was arranged to “Credit” the Borrower the current equity in the property so no additional funds were required to be brought into escrow. Even the closing costs were covered by the new loan. The total time from loan application to funding was just over ‘20” days. Since our company also provides Institutional financing, the plan going forward is to refinance the Borrower into a much better loan prior to the maturity of the just funded loan.

Recently Funded Loan – Los Angeles, CA

Roca 1Roca 2

Property Type: Single Family Residence
Lien Position 1st Trust Deed
Loan Amount: $275,000.00
Appraised Value: $550,000.00
LTV: 50%
Loan Rate: 10.00%
Loan Type: Investment Purpose
Occupancy: Non-Owner Occupancy
Term: 12 Months Interest Only

The Borrower had requested that our company provide purchase financing a year earlier when he purchased the subject property for a great deal at a short sale intending to do a complete rehab of the property. Following the purchase of the property a family emergency required the Borrower to have to travel to Mexico for a number of months, which caused the project to be put on hold. When the Borrower returned it was determined that additional funds would be needed to complete the total rehab of the subject property. Since the Investor needed the funds back at loan maturity for another commitment, the decision was made to refinance the current 1st Trust Deed with a larger loan that would provide the Borrower the necessary funds to complete the project, The total time from loan application to funding was just over ‘15” days. The timing of the loan and the funds provided from the loan allowed the Borrower to not have any additional delays with the project.

Recently Funded Loan – West Hollywood, CA

Gorbonos 1Gorbonos 2

Property Type: Tri-Plex
Lien Position 1st Trust Deed
Loan Amount: $585,000.00
Appraised Value: $1,000,000.00
LTV: 59%
Loan Rate: 10.75%
Loan Type: Investment Purpose
Occupancy: Non-Owner Occupancy
Term: 12 Months Interest Only

The Borrower was a U S Citizen but earned almost all of his income in Russia, and was not able to document the income for lending purposes. The Borrower was a very strong borrower, having invested over $2,500,000.00 cash in local real estate in the preceding “24” months. In addition, he had over $1,500,000.00 on deposit in US banks. The property was located in a strong rental area of Hollywood and was being purchased for future development, as the Borrower intended to later develop the property into condos. The total time from loan application to funding was just over ‘25” days. The Realtor who referred the Borrower to our company was leery of the transaction being financed with Private Money, in the end she was very was impressed with our company.

Recently Funded Loan – Studio City, CA

Bucalo PicBucalo PicProperty Type: 4-Plex
Lien Position: 2nd
Loan Amount: $260,000.00
Appraised Value: 1,200,000.00
LTV: 60%
Loan Rate: 12%
Loan Type: Fixed Rate
Occupancy: Non-Owner
Term: 60 Months

When the Borrower contacted our company he owned two 4-Plexes and had a total of “8” loans and liens recorded against the two properties. He had indicated that if he couldn’t “Clean Up” his financial situation he would have to sell one or possibly both of his properties, which he didn’t want to have to do. An impediment to funding the loan was that the Borrower had dedicated more than half of the units as Vacation Rentals, where he didn’t receive traditional rental income. After over “2” months of diligent effort we were able to arrange a new 2nd Trust Deed for $260,000.00 that provided the funds to pay off most of the loans that the Borrower owed. The monthly savings to him was over $2,500.00 per month, suffice to say he was very happy he contacted our company.

Recently Funded Loan – Pasadena, CA

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Property Type: Single Family Residence
Lien Position 2nd Trust Deed
Loan Amount: $100,000.00
Appraised Value:  $525,000.00
LTV: 60%
Loan Rate: 11%
Loan Type: Business Purpose
Occupancy: Owner Occupied
Term: 36 Months Interest Only
 
 
 

The Borrower needed money as soon as possible to take advantage of a business opportunity relating to his business and he needed it fast.  We were able to structure the loan as a Business Purpose loan secured by the Borrower’s personal residence.  Since there are State and Federal loans regulations relating to lending on a Borrower’s personal residence, complying with our investors lending requirements would be changing.   We were able to comply with all the government requirements and our investors lending requirements and were able to get the Borrower the funds he needed to complete his business transaction.